What is Collision Coverage

What is Collision Coverage?

October 16, 2024

What is Collision Coverage?

When cruising down the scenic roads of Georgia, the last thing on your mind is the possibility of an accident. Unfortunately, the unexpected can and does happen. When it does, you need adequate auto insurance. Collision coverage is essential to an auto insurance policy for many Georgia drivers.

The team at Peachstate Insurance can help you get the auto insurance coverage you need at a favorable rate. Contact us today for an auto insurance quote.

What Is Collision Coverage?


Collision coverage is an optional auto insurance policy that may help pay to repair or replace the insured vehicle after an accident with another vehicle or object, minus the policy’s deductible.  

Collision coverage is separate from liability coverage, which pays for damages you cause to others, and comprehensive coverage, which may help cover noncollision-related damages such as theft, fire or natural disasters.

Your agent can help you understand what your collision policy may or may not cover.

Why Do You Need Collision Coverage?
While Georgia law mandates liability insurance, collision coverage is not a legal requirement. If you lease or finance your vehicle, the lender may require full coverage, which typically includes collision and comprehensive insurance.

Collision insurance isn’t right for every situation; however, if your car holds significant value, repairing or replacing it after an accident could be financially devastating without adequate coverage.

How Much Are Collision Deductibles and Premiums?

When you opt for collision coverage, you’ll choose a deductible amount. This is what you’ll pay out of pocket before your insurance kicks in. Deductibles typically range from $250 to $1,000. Higher deductibles usually mean lower premiums but higher costs for you at the time of a claim. Your agent can help you choose a deductible that fits your budget.  

Collision premiums, like your other auto insurance premiums, are based on multiple factors, which may include the following:

  • Your driving experience and claims history
  • Your age and location
  • Your vehicle’s value
  • The coverage levels and deductibles you choose


Contact Us
Collision coverage can help provide a vital financial safety net for you and your vehicle. While it’s optional, peace of mind and financial security can be invaluable, particularly if you are in an unexpected accident.

Contact the Peachstate Insurance team today to discuss whether collision coverage is the right addition to your auto insurance policy. We can help you compare auto insurance quotes from reputable insurers to get the best possible combination of value and coverage.



This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.

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